Bill > HJR50

This joint resolution proposes a constitutional amendment to fundamentally restructure Missouri's tax system by eliminating individual and corporate income taxes, as well as existing state sales and use taxes, and replacing them with a new 5.11% sales tax on retail sales of new tangible property and taxable services, effective January 1, 2028. The proposed amendment includes several key provisions: businesses and investments would be exempt from this new sales tax, the general assembly can make one adjustment to the tax rate to ensure revenue neutrality, and local political subdivisions will need to recalculate their tax rates to maintain similar revenue levels. Additionally, the resolution mandates that the Department of Revenue create an annual sales tax rebate for qualified families based on federal poverty guidelines, which would help offset the potential regressive impact of a sales tax. The amendment allows for tax exemptions with a two-thirds vote in both legislative chambers, and requires a recalculation of existing tax rates to ensure comparable revenue generation. The proposed change would be submitted to Missouri voters for approval at the next general election in November 2026 or a special election called by the governor.

https://house.mo.gov/Bill.aspx?bill=HJR50&year=2025&code=R